CMRL Clarifies No Demand Raised for CFA in Phase II of Chennai Metro Rail Project.

Chennai Metro Rail Limited (CMRL) has not raised any demand for Central Financial Assistance (CFA) for the ₹63,246 crore Phase II of the Chennai Metro project, confirmed Manohar Lal, Minister of Housing and Urban Affairs.

The Central Government has already sanctioned the Phase II project, and funds for metro projects are released based on requests from the concerned Special Purpose Vehicle (SPV) implementing the project, subject to meeting conditions outlined in the sanction order, the minister stated in response to a query by Tamil Nadu MP K Gopinath in the Lok Sabha.

Gopinath had questioned whether it was true that the Centre had sanctioned ₹63,000 crore for Phase II of the Chennai Metro Rail project, and yet no funds had been released for the project so far.

Urban transport, including metro rail projects, falls under the jurisdiction of state governments, and it is the responsibility of the State Governments or Union Territory administrations to initiate and develop such infrastructure. Based on proposals from the Tamil Nadu government, the Centre has approved metro projects totaling ₹85,395 crore, which includes Phase I/Extension and Phase II of the Chennai Metro, with a total route length of 173 km. Currently, 54 km of the network under Phase I and Phase I extension is operational.

The State government has also submitted the Detailed Project Report (DPR) for Coimbatore and Madurai metro rail projects in February 2024. However, the Comprehensive Mobility Plan and Alternative Analysis Report, essential for the appraisal process, were only submitted on December 5, 2024.

Metro projects are capital-intensive, and their approval requires thorough examination and appraisal by the Central Government. The approval process is contingent on the feasibility of the proposal and the availability of resources.

HBL